Penn West to sell some non-core assets in Alberta for $355M
Assets in south central Alberta currently produce natural gas, natural gas liquids, according to Penn West
CALGARY—Penn West Petroleum Ltd. has agreed to sell some of its Alberta non-core assets for about $355 million to an unidentified private company.
The assets in south central Alberta currently produce the equivalent of 7,500 barrels of oil per day, mostly in the form of natural gas and natural gas liquids.
Penn West says the assets represents less than five per cent of its reserve base.
The Calgary-based company says the latest asset sale will bring the total value of asset dispositions within the first year of its long-term plan to $1 billion and debt will be reduced by more than $1.2 billion during the same period.
Penn West has been divesting itself of a number of Alberta assets in recent years as it shifts away from natural gas production to focus on light oil.